[SINGAPORE] The trustee-manager of Hutchison Port Holdings Trust (HPH) on Friday (Dec 12) said that land currently held by one of its subsidiaries will be acquired by the Chinese government for 15.6 million yuan (S$2.9 million).
About 7,775 square metres of land in Shenzhen owned by Yantian International Container Terminals (YICT) will be expropriated by the municipal government.
YICT is 56.4 per cent owned by HPH. Shenzhen Yantian Port Group also has a stake in the joint venture (JV).
The sum of 15.6 million yuan is the government’s compensation to YICT, which is not using the land for any operational purposes.
The development follows the government’s expropriation in July 2024 of land along the Pingyan railway, between the Pinghu South and Yantian Port stations.
That land was previously under YICT and Shenzhen Pingyan Multimodal Company (SPMC), a JV 51.6 per cent owned by HPH.
YICT received 12.7 million yuan in compensation for the land and SPMC, 362.4 million yuan.
The expropriations are part of a land-sea corridor and rail link development under China’s 14th Five-Year Plan, announced in 2021. These plans are national initiatives for socioeconomic development.
Units of HPH Trust closed up 2.4 per cent or US$0.005 at US$0.21 on Friday, before the announcement.
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